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2017 (7) TMI 1329 - HC - Income TaxTP Adjustment - Adjustment should be LIBOR OR average yield rates considered by the learned TPO - HELD THAT:- As decided in own case [2015 (5) TMI 395 - BOMBAY HIGH COURT] the rate to be used for undertaking an adjustment should be LIBOR and not the average yield rates considered by the learned TPO. The LIBOR rate for March 2008 was 2.6798%. However the assessee has charged 7% from its AE as per the internal CUP available. Thus, the assessee has charged interest to EKC Dubai and EKC china at the rate higher than existing LIBOR rates. Accordingly, the said transaction of providing loan to EKC Dubai and EKC China is at arm's length. Additions made by the AO are accordingly set aside - The said reasoning does not appear to be perverse. No substantial question of law arise
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